The acquisition adds X-ray tubes and specialized digital detectors to the Teledyne medical imaging portfolio.
Teledyne Technologies has agreed to acquire Varex Imaging in a $1.1 billion deal that will expand its medical imaging portfolio with X-ray tubes, digital detectors, and other imaging technologies. The transaction is valued at approximately $1.1 billion, including Varex’s equity awards and net debt, according to a joint announcement from the companies.
The boards of directors for both organizations unanimously approved the acquisition, which is expected to close in early 2027. The deal remains subject to customary closing conditions, regulatory approvals, and the approval of Varex stockholders.
Varex Imaging manufactures X-ray imaging components, including X-ray tubes, digital detectors, high-voltage interconnects, and imaging software. These technologies are utilized in medical diagnostic imaging, oncology, and industrial inspection systems.
“While Teledyne and Varex serve similar customers with related technologies, our products are uniquely complementary with minimal overlap,” says Robert Mehrabian, executive chairman of Teledyne, in a release.
Mehrabian notes that while Teledyne produces X-ray detectors, it does not provide detectors designed for high-radiation environments such as oncology. Additionally, Teledyne has not previously produced X-ray tubes for radiography, fluoroscopy, or computed tomography applications. Varex also provides photon counting detectors for healthcare and industrial inspection.
“Joining Teledyne marks an exciting new chapter for Varex,” says Sunny Sanyal, CEO and director of Varex, in a release. “This transaction provides a substantial premium for our shareholders and exciting opportunities for our customers and employees across the medical and industrial markets we serve.”
Sanyal says the resources provided by Teledyne Technologies will help accelerate the adoption of advanced imaging solutions and the development of future products.
Teledyne Technologies provides digital imaging products, software, and instrumentation. The company entered the healthcare sector in 2011 and expanded its presence in 2017 through the acquisition of a supplier of magnetrons for cancer radiotherapy equipment.
Varex Imaging is headquartered in Salt Lake City, Utah, and employs approximately 2,400 people across North America, Europe, and Asia. Following the acquisition, Varex’s X-ray technologies will be integrated alongside the existing product portfolio of Teledyne Technologies.
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